Bosch, Nicole; Dekker, Vincent; Strohmaier, Kristina - In: International Tax and Public Finance 27 (2020) 4, pp. 951-979
We extend the bunching approach introduced by Saez (Am Econ J Econ Policy 2:180–212, 2010) by proposing an intuitive, data-driven procedure to determine the bunching window. By choosing the bunching window ad hoc, researchers throw away informative data points for estimating the counterfactual...